BSBFIM601 Assessment ` 1 (1)
BSBFIM601 Assessment 1
Probity decisions should be:
Know Your Employees: Fraud perpetrators often display behavioral traits that can indicate the intention to commit fraud. Observing and listening to employees can help you identify potential fraud risk. It is important for management to be involved with their employees and take time to get to know them. Often, an attitude change can clue you in to a risk. This can also reveal internal issues that need to be addressed.
Make Employees Aware/Set Up Reporting System: Awareness affects all employees. Everyone within the organization should be aware of the fraud risk policy including types of fraud and the consequences associated with them. Those who are planning to commit fraud will know that management is watching and will hopefully be deterred by this.
Implement Internal Controls: Internal controls are the plans and/or programs implemented to safeguard your company’s assets, ensure the integrity of its accounting records, and deter and detect fraud and theft. Segregation of duties is an important component of internal control that can reduce the risk of fraud from occurring.
An audit report is a written opinion of an auditor regarding an entity’s financial statements. The report is written in a standard format, as mandated by generally accepted auditing standards (GAAS). GAAS requires or allows certain variations in the report, depending upon the circumstances of the audit work in which the auditor engages. The following report variations may be used:
Cash accounting is an accounting method where receipts are recorded during the period they are received, and expenses are recorded in the period in wh...
The accrual principle is the concept that you should record accounting transactions in the period in which they actually occur, rather than the period in which the cash flows related to them occur. The accrual principle is a fundamental requirement of all accounting frameworks, such as Generally Accepted Accounting Principles and International Financial Reporting Standards.
– Australian business number (ABN): Consider getting an ABN for your business. An ABN helps to manage your tax and business obligations, and is used as a reference by the Australian Taxation Office (ATO) for your business. You will also use your ABN when dealing with other businesses and government departments.
– Goods and services tax (GST): GST is a broad-based tax of 10% imposed on most goods, services and other items sold in Australia. Depending on your turnover or service, you may need to register for GST.
– Pay as you go (PAYG): PAYG is a system that allows you to pay an expected tax liability in instalments. The ATO will notify you of your PAYG obligations.
– Tax obligations for paying staff: As an employer, you must be aware of your tax obligations when paying staff, including pay as you go, withholding tax and superannuation. Depending on the size of your business, you may also need to pay payroll tax.
Corporations Act 2001
The information on these pages is intended to help users of financial reports, including shareholders, investors and creditors, better understand:
It is an independent opinion provided by an independent external auditor as a result of an audit, review or agreed procedures conducted on an entity.The auditor’s report is intended to provide an opinion to report users as to whether the applicable financial reporting framework has been applied in…...
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